St. Kitts and Nevis Private Fund

Introduction

The Nevis International Mutual Funds Ordinance 2004 and its accompanying Regulations provide a modern regulatory structure for mutual funds, their managers and administrators. Under the Nevis International Mutual Funds Ordinance, a mutual fund can be structures as a company, a partnership, unit trust or other similar body formed under the laws of Nevis or any other jurisdiction which collects and pools investor funds for the purpose of collective investment.

Key Features

The Nevis International Mutual Funds Ordinance allows for a Private Fund; which offers its shares on a private basis, has no more than 50 investors and is required to be recognized by the Minister of Finance upon proof that it is lawfully constituted.

• A Nevis International Private Fund must have a licensed and independent fund custodian.
• There must also be a licensed manager or administrator of the fund.
• Managers or Administrators who are not resident or domicile in Nevis and who are authorized to provide services under the laws of a recognized jurisdiction may operate from within Nevis after receiving written permission from the Minister of Finance.
• Additionally, a licensed or recognized Fund of a prescribed jurisdiction can easily be continued or re-domiciled in Nevis, if it is in good standing. The same re-domiciliation privilege is given to the investment manager and administrator of that existing Fund.
• Minimum number of directors is two natural persons.
• The Nevis International Mutual Funds Regulations set the annual licence renewal fee at USD 200 for Private Funds.
  

Legal Requirements

Requirements	Description
General
Corporate  vehicle permitted	St. Nevis Company, Partnership or Unit Trust
·         License application fee	USD 200
·         Annual license fee	USD 200
Local physical office required	No
Share capital or equivalent
·         Minimum subscription	None
·         Minimum investors	50
Directors
Minimum number	2
Corporate directorship allowed	No
Local director required	No
Service Providers Required
Custodian	Yes (from anywhere)
Fund manager/Investment manager	Yes (from anywhere)
Fund administrator	Yes (from anywhere)
Auditors	Yes

 Tax Treatment

Corporate income tax is only payable for locally generated profit, transactions made solely to non-resident entities is not subject to tax.

Duration to Set Up

Around 3 months

Distinctive Benefits of Licence

• Numerous tax advantages
• Ease and speed of licensing

The Valsen Advantage

• End to end comprehensive service
• Speedy and efficient service
• Expert advice on structuring options
• Dedicated ongoing compliance support
• Extensive network pool of service providers